(b) The manufacturer, factory branch or distributor shall, at the hearing held under par. (a), have the burden of establishing good cause for such its refusal by showing that the succession would be detrimental to the public interest or to the representation of the manufacturer, factory branch or distributor. The franchise agreement shall continue in effect until the final determination of the issues raised in such the complaint.
(c) If the complainant prevails at the hearing held under par. (a), he or she shall have a cause of action against the defendant manufacturer, factory branch or distributor for reasonable expenses and attorney fees incurred in such the matter. If the manufacturer, factory branch or distributor prevails, the division of hearings and appeals shall include in its order approving the termination of the franchise agreement such conditions as are reasonable and adequate to afford the complainant an opportunity to receive fair and reasonable compensation for the value of the dealership.
31,197 Section 197. 218.01 (3c) (e) of the statutes is renumbered 218.0131 (4) and amended to read:
218.0131 (4) Nothing in this subsection section shall prevent a dealer, during the dealer's lifetime, from designating any person as his or her successor dealer by written instrument filed with the manufacturer, factory branch or distributor.
31,198 Section 198. 218.01 (3n) (title) of the statutes is renumbered 218.0132 (title).
31,199 Section 199. 218.01 (3n) (a) of the statutes is renumbered 218.0132 (1) (a) and amended to read:
218.0132 (1) (a) For purposes of sub. (3) (a) 17. s. 218.0116 (1) (i), the termination, cancellation or discontinuation of a motor vehicle line make will be considered to be the cancellation or failure to renew the franchise of a motor vehicle dealer or distributor of that line make even if that line make is part of an agreement that includes other line makes but.
(b) Notwithstanding par. (a), a manufacturer, importer or distributor may change, add or delete models, specifications, model names, numbers or identifying marks or similar characteristics of motor vehicles that it markets without effecting a cancellation or failure to renew a franchise.
31,200 Section 200. 218.01 (3n) (b) (intro.) of the statutes is renumbered 218.0132 (2) (intro.) and amended to read:
218.0132 (2) (intro.) The cancellation or nonrenewal of a franchise shall not be a violation of sub. (3) (a) 17. s. 218.0116 (1) (i) if all of the following requirements are met:
31,201 Section 201. 218.01 (3n) (b) 1. of the statutes is renumbered 218.0132 (2) (a).
31,202 Section 202. 218.01 (3n) (b) 2. of the statutes is renumbered 218.0132 (2) (b).
31,203 Section 203. 218.01 (3n) (b) 3. of the statutes is renumbered 218.0132 (2) (c) and amended to read:
218.0132 (2) (c) If the franchisee is a motor vehicle dealer, the dealer receives the termination benefits under sub. (3r) s. 218.0133.
31,204 Section 204. 218.01 (3n) (b) 4. (intro.) of the statutes is renumbered 218.0132 (2) (d) (intro.).
31,205 Section 205. 218.01 (3n) (b) 4. a. of the statutes is renumbered 218.0132 (2) (d) 1.
31,206 Section 206. 218.01 (3n) (b) 4. b. of the statutes is renumbered 218.0132 (2) (d) 2. and amended to read:
218.0132 (2) (d) 2. Compensates the dealer or distributor for the actual pecuniary loss caused by the franchise cancellation or nonrenewal. In determining the actual pecuniary loss, the value of any continued service or parts business available to the dealer or distributor for the line make covered by the franchise shall be considered. If the dealer or distributor and the manufacturer, importer or distributor cannot agree on the amount of compensation to be paid under this subd. 4. b. subdivision, either may file a declaratory judgment action in a court of competent jurisdiction.
31,207 Section 207. 218.01 (3n) (b) 4. c. of the statutes is renumbered 218.0132 (2) (d) 3. and amended to read:
218.0132 (2) (d) 3. Establishes, in a proceeding brought by the dealer or distributor alleging that the cancellation or nonrenewal violates sub. (3) (a) 17. s. 218.0116 (1) (i), that the continued distribution of the line make in the United States would cause it economic loss and that, after the effective date of the franchise cancellation or nonrenewal, neither the manufacturer, importer or distributor nor any owner, assignee or licensee of the trademarks or service marks used for the purpose of designating, making known or distinguishing the line make covered by the franchise will use the trademarks or service marks, either alone or in conjunction with other marks, in designating, making known or distinguishing any line make of motor vehicle sold or distributed in the United States.
31,208 Section 208. 218.01 (3n) (b) 4. d. of the statutes is renumbered 218.0132 (2) (d) 4. (intro.) and amended to read:
218.0132 (2) (d) 4. (intro.) If the franchise relates to a line make that is sold or distributed in less than 13 states of the United States, establishes, in a proceeding brought by the dealer or distributor alleging that the cancellation or nonrenewal violates sub. (3) (a) 17., that s. 218.0116 (1) (i) all of the following:
a. That the continued distribution of the line make in this state would cause it economic loss and that,.
b. That after the effective date of the franchise cancellation or nonrenewal, neither the manufacturer, importer or distributor nor any owner, assignee or licensee of the trademarks or service marks used for the purpose of designating, making known or distinguishing the line make covered by the franchise will use such those trademarks or service marks, either alone or in conjunction with other marks, in designating, making known or distinguishing any line make of motor vehicle sold or distributed in this state, except that, if the line make covered by the franchise has been first distributed in this state less than 2 years before the effective date of the cancellation or nonrenewal, such those trademarks and service marks may be used in this state after 6 years from the effective date of the cancellation or nonrenewal.
31,209 Section 209. 218.01 (3n) (b) 4. e. of the statutes is renumbered 218.0132 (2) (d) 5. (intro.) and amended to read:
218.0132 (2) (d) 5. (intro.) Establishes, in a proceeding brought by the dealer or distributor alleging that the cancellation or nonrenewal violates sub. (3) (a) 17., that s. 218.0116 (1) (i) all of the following:
a. That the continued distribution of the line make in this state is prohibited by law or by an order of a court or agency with jurisdiction to issue the order and that.
b. That the continued distribution of the line make in this state cannot be made to comply with the law or order through the reasonable efforts of the manufacturer, importer or distributor and that,.
c. That after the effective date of the franchise cancellation or nonrenewal, neither the manufacturer, importer or distributor nor any owner, assignee or licensee of the trademarks or service marks used for the purpose of designating, making known or distinguishing the line make covered by the franchise will use such those trademarks or service marks, either alone or in conjunction with other marks, in designating, making known or distinguishing any comparable line make of motor vehicle sold or distributed in this state.
31,210 Section 210. 218.01 (3r) (title) of the statutes is renumbered 218.0133 (title).
31,211 Section 211. 218.01 (3r) (a) (intro.) of the statutes is renumbered 218.0133 (1) (intro.) and amended to read:
218.0133 (1) (intro.) In this subsection section:
31,212 Section 212. 218.01 (3r) (a) 1. of the statutes is renumbered 218.0133 (1) (a).
31,213 Section 213. 218.01 (3r) (a) 2. of the statutes is renumbered 218.0133 (1) (b).
31,214 Section 214. 218.01 (3r) (b) 1. of the statutes is renumbered 218.0133 (2) (a) and amended to read:
218.0133 (2) (a) Except as provided in par. (e) sub. (5) and subject to par. (c) sub. (3), when a grantor or motor vehicle dealer terminates, cancels or does not renew an agreement a grantor shall pay a motor vehicle dealer all of the termination benefits under subds. 2. to 5. pars. (b) to (e).
31,215 Section 215. 218.01 (3r) (b) 2. of the statutes is renumbered 218.0133 (2) (b) 1. (intro.) and amended to read:
218.0133 (2) (b) 1. (intro.) A grantor shall repurchase from the motor vehicle dealer any unsold new motor vehicles vehicle that have meets all of the following criteria:
a. The motor vehicle has not been structurally modified by a motor vehicle dealer, that have.
b. The motor vehicle has not been operated more than 300 miles for manufacturer's tests, predelivery tests and motor vehicle dealer exchange in addition to operation required for motor vehicle delivery from the grantor and that the.
c. The motor vehicle dealer was acquired as part of the motor vehicle dealer's original inventory or acquired from the grantor or from another motor vehicle dealer of the same line make and who acquired the motor vehicle from the grantor. In addition, a
2. A grantor may not be required to repurchase a motor vehicle under this subdivision paragraph unless the date on the original dealer invoice is within 12 months of the date on which the motor vehicle dealer terminates, cancels or does not renew an agreement or is within 18 months of the date on which the grantor terminates, cancels or does not renew an agreement.
3. The repurchase price for a new motor vehicle shall be the motor vehicle invoice price from the grantor, plus destination, delivery or distribution charges and sales taxes incurred by the motor vehicle dealer, less allowances paid or credited to the motor vehicle dealer by the grantor. A grantor may subtract from a new motor vehicle repurchase price an amount equal to the diminution in wholesale value caused by damages to a new motor vehicle before the motor vehicle dealer delivers the new motor vehicle to the grantor.
31,216 Section 216. 218.01 (3r) (b) 3. of the statutes is renumbered 218.0133 (2) (c) 1. (intro.) and amended to read:
218.0133 (2) (c) 1. (intro.) A grantor shall repurchase from the motor vehicle dealer any unused, undamaged and unsold parts and accessories and unopened appearance and maintenance materials and paints that if those items meet all of the following criteria:
a. The items are in the motor vehicle dealer's inventory or subject to a noncancelable order to the grantor on the effective date of the termination, cancellation or nonrenewal, that and are in original packaging, or, if sheet metal or body panels, that are in a comparable substitute for original packaging, and that the.
b. The items were acquired by the motor vehicle dealer acquired from the grantor or from its the motor vehicle dealer's predecessor motor vehicle dealer if and the parts, accessories and materials and paints items are listed for sale in the grantor's price schedules in effect on the effective date of the termination, cancellation or nonrenewal or, the items are part of the motor vehicle dealer's original inventory acquired from the grantor or are the items were acquired by the motor vehicle dealer from the grantor within 4 years before the effective date of the termination, cancellation or nonrenewal. However, a
2. A grantor may not be required to repurchase items that are not listed for sale in the grantor's price schedules in effect on the effective date of the termination, cancellation or nonrenewal if, within 2 years before the effective date of the termination, cancellation or nonrenewal, the grantor permitted a motor vehicle dealer to return obsolete parts and accessories, or a reasonable percentage of parts and accessories, for an amount that is equal to or greater than the price at which those items were listed for sale, less any allowances, at the time the return was permitted.
3. The repurchase price for parts, accessories and, materials and paints repurchased under subd. 1. shall be the price at which those items are listed for sale in the grantor's price schedules in effect on the effective date of the termination, cancellation or nonrenewal, or, if an item is not listed, the motor vehicle dealer's original invoice cost, plus destination, delivery or distribution charges, and sales taxes incurred by the motor vehicle dealer, less allowances paid or credited to the motor vehicle dealer by the grantor. If a motor vehicle dealer inventories, handles and packages repurchased items for delivery to the grantor, the grantor shall reimburse the motor vehicle dealer an additional amount equal to 2% of the repurchase price under this subdivision paragraph.
31,217 Section 217. 218.01 (3r) (b) 4. of the statutes is renumbered 218.0133 (2) (d).
31,218 Section 218. 218.01 (3r) (b) 5. of the statutes is renumbered 218.0133 (2) (e).
31,219 Section 219. 218.01 (3r) (c) of the statutes is renumbered 218.0133 (3) and amended to read:
218.0133 (3) (a) The grantor shall provide a list of the motor vehicles, parts, accessories, materials and paints, signs, tools, equipment and furnishings that the motor vehicle dealer is authorized to return to the grantor within 30 days after the grantor receives a written inventory of the property that the motor vehicle dealer intends to return or within 30 days after the effective date of the termination, cancellation or nonrenewal, whichever is later. Within 60 days after the property is actually returned by the motor vehicle dealer to the grantor, f.o.b. dealership facilities, the grantor shall pay the motor vehicle dealer the reimbursement amount under par. (b) 2. to 5. sub. (2) (b) to (e), except that the grantor may apply the reimbursement amount first to pay any amount owed by the motor vehicle dealer to the grantor.
(b) If a repurchase price under par. (b) sub. (2) depends on a purchase date or original cost or includes an associated cost, the motor vehicle dealer shall have the burden of proving by documentary evidence the purchase date, original cost or associated cost.
31,220 Section 220. 218.01 (3r) (d) 1. of the statutes is renumbered 218.0133 (4) (a) and amended to read:
218.0133 (4) (a) Except as provided in par. (e) sub. (5) and subject to subd. 4. par. (d), when a grantor terminates, cancels or does not renew an agreement a grantor shall, upon request, pay a motor vehicle dealer the termination benefits under subd. 2. or 3. par. (b) or (c). If a motor vehicle dealer receives benefits under subd. 2. or 3. par. (b) or (c), the grantor shall be entitled to the possession and use of the dealership facilities for the period that the termination benefits payment covers.
31,221 Section 221. 218.01 (3r) (d) 2. of the statutes is renumbered 218.0133 (4) (b).
31,222 Section 222. 218.01 (3r) (d) 3. of the statutes is renumbered 218.0133 (4) (c).
31,223 Section 223. 218.01 (3r) (d) 4. of the statutes is renumbered 218.0133 (4) (d) and amended to read:
218.0133 (4) (d) Subdivisions 2. and 3. Paragraphs (b) and (c) apply only to dealership facilities that are used in performing sales and service obligations under an agreement before the motor vehicle dealer receives notice of the termination, cancellation or nonrenewal of the agreement.
31,224 Section 224. 218.01 (3r) (e) 1. (intro.) of the statutes is renumbered 218.0133 (5) (a) (intro.) and amended to read:
218.0133 (5) (a) (intro.) Paragraphs (b) and (d) Subsections (2) and (4) do not apply to any of the following:
31,225 Section 225. 218.01 (3r) (e) 1. a. of the statutes is renumbered 218.0133 (5) (a) 1.
31,226 Section 226. 218.01 (3r) (e) 1. b. of the statutes is renumbered 218.0133 (5) (a) 2.
31,227 Section 227. 218.01 (3r) (e) 1. c. of the statutes is renumbered 218.0133 (5) (a) 3.
31,228 Section 228. 218.01 (3r) (e) 1. d. of the statutes is renumbered 218.0133 (5) (a) 4.
31,229 Section 229. 218.01 (3r) (e) 1. e. of the statutes is renumbered 218.0133 (5) (a) 5. and amended to read:
218.0133 (5) (a) 5. A motor vehicle dealer who terminates, cancels or fails to renew an agreement to sell motor homes, as defined in s. 340.01 (33m), unless a court, a licensor or the division of hearings and appeals determines that the grantor has not acted in good faith or has materially violated the agreement or a provision of this section ss. 218.0101 to 218.0163 and determines that the motor vehicle dealer has not acted in bad faith or has not violated the agreement or a provision of this section ss. 218.0101 to 218.0163.
31,230 Section 230. 218.01 (3r) (e) 1. f. of the statutes is renumbered 218.0133 (5) (a) 6.
31,231 Section 231. 218.01 (3r) (e) 2. of the statutes is renumbered 218.0133 (5) (b) and amended to read:
218.0133 (5) (b) Paragraph (b) Subsection (2) does not apply to a motor vehicle dealer who is unable to convey clear title to property under par. (b) 2. to 5. sub. (2) (b) to (e) on the date on which the grantor takes delivery of the property.
31,232 Section 232. 218.01 (3r) (e) 3. of the statutes is renumbered 218.0133 (5) (c) and amended to read:
218.0133 (5) (c) Paragraph (b) Subsection (2) does not apply to property under par. (b) 2. to 5. sub. (2) (b) to (e) that is acquired by a motor vehicle dealer from another motor vehicle dealer if the property is acquired after the motor vehicle dealer receives or gives notice of termination, cancellation or nonrenewal or if the property was acquired other than in the ordinary course of the motor vehicle dealer's business.
31,233 Section 233. 218.01 (3r) (e) 4. of the statutes is renumbered 218.0133 (5) (d) and amended to read:
218.0133 (5) (d) Paragraph (d) Subsection (4) does not apply if a grantor terminates, cancels or fails to renew an agreement in compliance with sub. (3) (a) 17. s. 218.0116 (1) (i), unless the primary ground for termination, cancellation or nonrenewal is inadequate sales performance by the motor vehicle dealer.
31,234 Section 234. 218.01 (3r) (f) of the statutes is renumbered 218.0133 (6) and amended to read:
218.0133 (6) (a) This subsection section does not restrict the right of a motor vehicle dealer to pursue any other remedy available against a grantor who terminates, cancels or does not renew an agreement.
(b) A grantor may not make the termination benefits payments under par. (b) or (d) sub. (2) or (4) contingent on the motor vehicle dealer releasing or waiving any rights, claims or remedies.
31,235 Section 235. 218.01 (3x) (title) of the statutes is renumbered 218.0134 (title).
31,236 Section 236. 218.01 (3x) (a) of the statutes is renumbered 218.0134 (1) and amended to read:
218.0134 (1) In this subsection section, "affected grantor" means a manufacturer on direct dealerships, a distributor on indirect dealerships or an importer on direct dealerships that has entered into an agreement with a motor vehicle dealer and that is directly affected by an action proposed to be undertaken by the dealer under this subsection section.
31,237 Section 237. 218.01 (3x) (b) of the statutes is renumbered 218.0134 (2) and amended to read:
218.0134 (2) (a) If a motor vehicle dealer's agreement with an affected grantor requires the grantor's prior approval of an action proposed to be undertaken by the dealer under this subsection section, a dealer may not voluntarily change its ownership or executive management, transfer its dealership assets to another person, add another franchise at the same location as its existing franchise or relocate a franchise without giving prior written notice of the proposed action to the affected grantor and to the department of transportation. Within 20 days after receiving the notice, the affected grantor may serve the dealer with a written list of the information not already known or in the possession of the grantor that is reasonably necessary in order for the grantor to determine whether the proposed action should be approved. The grantor shall, in good faith, confirm in writing to the dealer the date on which it has received from the dealer or from other sources all the information specified on the list.
(b) An affected grantor who does not approve of the proposed action shall, within 30 days after receiving the dealer's written notice of the proposed action or within 30 days after receiving all the information specified in a written list served on the dealer under subd. 1. par. (a), whichever is later, file with the department of transportation and serve upon the dealer a written statement of the reasons for its disapproval. The reasons given for the disapproval or any explanation of those reasons by the manufacturer, distributor or importer shall not subject the manufacturer, distributor or importer to any civil liability unless the reasons given or explanations made are malicious and published with the sole intent to cause harm to the dealer or a transferee of the dealer. Failure to file and serve a statement within the applicable period shall, notwithstanding the terms of any agreement, constitute approval of the proposed action by the grantor. If an affected grantor files a written statement within the applicable period, the dealer may not voluntarily undertake the proposed action unless it receives an order permitting it to do so from the division of hearings and appeals under par. (c) 2. sub. (3) (b).
(c) A dealer who is served with a written statement by an affected grantor under subd. 2. par. (b) may file with the department of transportation and the division of hearings and appeals and serve upon the affected grantor a complaint for the determination of whether there is good cause for permitting the proposed action to be undertaken. The division of hearings and appeals shall promptly schedule a hearing and decide the matter. The proposed action may not be undertaken pending the determination of the matter.
31,238 Section 238. 218.01 (3x) (c) of the statutes is renumbered 218.0134 (3).
31,239 Section 239. 218.01 (3x) (d) (intro.) of the statutes is renumbered 218.0134 (4) (intro.) and amended to read:
218.0134 (4) (intro.) This subsection section does not apply to:
31,240 Section 240. 218.01 (3x) (d) 1. of the statutes is renumbered 218.0134 (4) (a).
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